The World Bank reports that agriculture represents about 40 % of Benin’s GDP and provides jobs for more than 70 % of the workforce. Most agricultural activities in Benin are carried out on small farms, which primarily produce cashew nuts, cassava, yams, and beans.

Cashew nut potential in Benin

Cashew nut production is a crucial part of Benin’s agricultural sector, making the country one of the world’s top producers. In 2021, Benin exported over 50,000 tonnes of cashew nuts, generating more than 100 million USD, according to the International Trade Centre. Most of these exports went to India, Vietnam, and the European Union, with smaller amounts sent to other African and Asian nations. By emphasizing sustainability and quality, Benin is rapidly becoming a significant player in the global cashew market. The cashew industry not only boosts the economy but also supports numerous small-scale farmers and processing workers across the country.

Improving the cashew industry in Benin

Despite its significant role in the global cashew market, Benin processes a relatively small percentage of its cashew nuts. The country primarily exports cashew nuts in their raw state, unlike other nations that process their crops domestically.

A key challenge is the insufficient investment in processing infrastructure and equipment. Without these essential facilities and technologies, producers struggle to process large volumes of cashew nuts efficiently, leading to a low processing rate.

This lack of investment also affects workforce development. Many workers in Benin’s cashew sector are small-scale farmers without the training or experience needed for processing facilities, further limiting the industry’s efficiency and global competitiveness.

Addressing these issues will require both government and private sector investments in infrastructure and equipment to support and expand the industry.

GDIZ : The industrial zone that overcomes obstacles to investment

To address Benin’s low cashew nut processing rate, the country is developing integrated industrial zones. These zones aim to boost the cashew industry’s growth and efficiency. A key example is the GDIZ (Zone industrielle de Glo-Djigbé), a public-private partnership (PPP) project designed to enhance the sector.

GDIZ features modern processing facilities that streamline cashew nut processing, improving the industry’s efficiency and competitiveness. In addition to processing capabilities, GDIZ offers various support services, including training programs, financial and technical assistance, and market information. These initiatives strengthen the capacity of Benin’s cashew industry and raise its processing rate.